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[seager]

ok, My mother in law only makes 8100 a year. She owns her home which is woth nothing, owns a car prolly worh about 1500. She only makes 675 from a pension when her husband died. She owes about 20k in credit card debt. She uses it to buy food and medication because of her diabetes and is left with nothing every month. She spends about 400 a month on these three cards.
We can't afford an attorney right at this moment, but trying to find a cheap or even pro bono iin my area.

What if she just stops paying her bills right now while we attempt to locate an attorney? And will they arrest her since the loans amounts are so high? Would she lose her house or her car? I recall something about not aying your bills for 3-6 moths before you file. I dn't want to mislead her. we filed 5 years ago and that's what they told me to do. I know she has to do the counseling. the closets place for the bankruptcy court is 2 hours away and is disabled, wuld I be able to get power of attorney to represent her or would she have to go?\

I guess bottom line, can she stop paying her bills right now for a couple of months while we find an attorney? She just cana't make it. She's not going to sell her house, she's 62 so a lien or judgement on house wouldnt matter, and she meets the means test.

it's only the credit cards that she is going to file fo the bankruptcy. Like I said it's 20k.
I told her to notmake her payment next month and let me research some local lawyers.
She wouldn't go to jail would she
' And the funds are a pension, would thye garnish them?

Please any information would be helpful. She cant make it and it's hard for her.

Thanks in advance

[yago]

She won't go to jail. We don't have debtor's prison in the US.

Frankly, I don't know why she should even botherto file bankruptcy. If you only income is froma pension, that may very well be exempt from garnishment -- especially since Texas doesn't permit wage garnishment. If the credit cards sue her and win a judgment, they really don't have much they can go after.

Depending on what kind of pension, they might be able to attach her bank account if they win a judgment. But it doesn't sound like she has much in the bank anyway if her only income is that pension. They could also lien her house, but they can't force foreclosure. The lien would have to be satisfied if the house is sold or refinanced. They won't bother going after the car. It's not worth enough to bother.

Basically, she should just stop paying on the credit cards and let them default. When the collectors call, just tell them she has no money or get an answering machine and don't take the calls.

[sceley]

Owing money is not a crime... she will not go to jail over it....

If her pension is Social Security then it can not be garnished. But you better make sure the bank is notified so that they block any garnishment attempt.

Whether or not she qualifies for a chapter 7 bankruptcy and will be able to keep her house... only an attorney can give her an answer.

But.. there are websites and every state offers Senior Legal Advise. Here is a site you need to visit and then scroll down to Texas. You will want to talk to every senior service in your area to get all the help and free legal advise for your mother in law. Either pick up her local phone book and look in the government sections or do it online: Until you know for sure.... don't default on her accounts please.

http://www.ptla.org/links/services.htm

and:

http://www.seniorlaw.com/resource.htm

[urian27]

She earns $8,000 a year? Perhaps she can increase her income. It would seem follish to pay for bankruptcy with only $20K in debt. She should STOP USING the cards right now. That is the first step to getting out of debt. She is paying interest on these charges. Broke people can't afford to pay interest.

Perhaps she should sell the house (it can't be worth nothing) and move in with family?

[jolie]

She earns $8,000 a year? Perhaps she can increase her income. It would seem follish to pay for bankruptcy with only $20K in debt. She should STOP USING the cards right now. That is the first step to getting out of debt. She is paying interest on these charges. Broke people can't afford to pay interest.

Perhaps she should sell the house (it can't be worth nothing) and move in with family?

She won't go to jail
Bankruptcy attorneys will give a free consult to assess your situation before they take your case. There are no *pro bono* bankruptcy attorneys.

The thing is, if she is using the cards to buy her meds, what is she going to do when she claims bankruptcy? How is she intending to pay for her meds if she was basically financing them through her cards?